Ecotourism is an important and rapidly growing “niche market” within the global tourism industry, which can contribute to environmental conservation, socio-economic and gives value to the maintenance of local traditions and culture. The evolution of the concept of ecotourism could be traced from the 1980s, which coincides with the grounding of the concept of sustainable development. Although it has been difficult to calculate the size and growth rate of ecotourism, a range of estimates indicate that it has become the fastest growing sub-sector of the tourism industry. The contribution of ecotourism to rural livelihoods and livelihood diversification has received significant research attention and taken as determinants of livelihood outcomes. Ethiopia is a country of land of multiple tourist attractions and a visitor friendly people who are conscious of its historical, cultural and natural heritages in its regions. Even though it possesses a plethora of tourist attractions, yet tourism infrastructure, tourist products and marketing are at its infancy. The sector has direct, indirect and induced impact on the country’s economy, environment and cultural resources. To sustain sustainable development for the long run from the sector, balancing those impacts and giving attention towards peace and security as well as infrastructure development is crucial as the ecotourism industry mainly depend on them.
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